Differences in labour force participation and wage gaps by gender and income classes: An investigation of the motherhood penalty in Brazil inequalities

Abstract

Inequalities along the income distribution, as well as the influence of the number of children over men and women’s labour force participation, are scarcely explored themes in Brazil. This article investigates the influence of children on women’s labour force participation and quantifies the gender gap by income classes. Our estimates controls for selection biases into the labour force, and takes into account baseline differences in human capital and the number of children in the household. We conclude that there is a severe motherhood penalty for poor women’s participation in the labour market, but maternity is not the main factor influencing the gender gap. We also conclude that income inequalities favor men in the lowest and middle classes, but not among the richest.